Something changed this festive season, and it’s redefining how India advertises

New Delhi: There’s a familiar rhythm to every festive season in India: lights, launches, and lavish campaigns. But this year, something changed. Advertisers spent differently, consumers shopped earlier, and suddenly, even print found its way back into the media plan.

By all measures, the 2025 festive season will go down as a turning point in India’s advertising landscape, one that blurred the lines between digital dominance and traditional trust.

According to Vaishal Dalal, Co-founder & Director at Excellent Publicity, “Post-Diwali analysis indicates that India’s overall festive AdEx in 2025 surpassed industry expectations, reflecting one of the strongest spending seasons in recent years. The festive quarter saw a year-on-year increase of nearly 14–15%, outpacing 2024’s already healthy double-digit growth.”

That’s not just recovery, it’s record-breaking. Experts had forecast a modest 10–12% rise in festive ad spend, but the market delivered more. “The actual numbers not only met but clearly surpassed the projected 10–12% growth. Final estimates suggest an overall 14–15% rise in festive AdEx, fueled by upbeat consumer sentiment post-GST reforms and improved household purchasing power,” Dalal added.

Bharat shopped online and earlier

On the consumer front, Criteo’s Diwali 2025 report showed just how decisively India’s festive economy has shifted online. The data revealed that 93% of Indian consumers shopped online during Diwali 2025, a staggering figure even by India’s digital standards.

Fashion, home décor, and beauty led the surge, with online retail sales climbing 14% year-on-year during the two weeks before Diwali. “Diwali reaffirms India’s rise as a dynamic digital retail market, where consumers shop smarter and earlier, balancing value with experience,” said Medhavi Singh, Country Head, Criteo India.

Criteo’s analysis showed that shoppers started deal-hunting almost a month before Diwali, signaling a more planned and research-driven approach. “Growth in online sales peaked at 51% while traffic peaked at 36% two weeks ahead of Diwali, before going down on Diwali itself,” the report stated.

The takeaway? Bharat’s festive spending has gone omnichannel. The same consumer who buys gold in-store also orders skincare and sarees online. Discounts, exclusivity, and early access dominated buying triggers: 59% said discounts were their top reason for trying new stores, followed by free shipping (46%) and exclusive products (45%). In short, India didn’t just shop online; it strategised its shopping online.

Print’s big comeback

And yet, in a world of digital-first everything, print quietly staged its comeback. Nikhil Rangnekar, CEO at Media Circle, observed a striking reversal. “The most notable trend this year was the increased demand for Print among advertisers making a beeline for large-format ads in premium positions to cash in on the GST reduction across multiple categories,” he said.

Dalal echoed that sentiment, pointing out that newspaper AdEx rose by nearly 10–12% compared to last year, driven largely by regional dailies. “Traditional media made a strong comeback this festive season, reversing the slowdown seen during the post-pandemic years,” he said.

That resurgence wasn’t just nostalgia; it was strategy. As premium brands fought for attention in an increasingly noisy digital space, full-page print ads reclaimed their status as signals of prestige and trust. “Print, especially newspapers, have seen increased demand this year. Other media demand was mostly flat to marginal growth,” Nikhil Rangnekar, CEO of Media Circle, added.

It’s a paradox only India could pull off, a nation where both premium print and performance marketing can peak in the same festive quarter.

Digital ad costs hit the roof

Of course, digital wasn’t quiet either; it just got a lot more expensive. Criteo’s festive data showed that average CPCs (cost per click) surged 45% and CPMs (cost per thousand impressions) rose 26% during the two weeks leading up to Diwali. That’s an unprecedented spike, driven by aggressive competition for festive eyeballs.

“Brands that invested early saw stronger returns and higher visibility,” noted the report. In other words, the smart money was the early money.

For marketers, the message is clear: the festive ad war is now an algorithmic arms race. Sponsored listings, programmatic banners, and shoppable videos gave brands instant visibility, but at a premium.

As Dalal put it, “Sponsored listings and shoppable video integrations on e-commerce platforms delivered high visibility and real-time sales uplift during key festive sale days. Programmatic advertising and retargeting campaigns helped brands reach active shoppers with personalised festive offers, leading to higher ROI.”

But not everyone is convinced about digital’s long-term edge. Rangnekar, representing a more measured view, said, “Most digital strategies are short-term and performance-led. I do not think they give a long-term benefit to brands.”

The rise of hybrid media planning

If Diwali 2025 proved anything, it’s that an integrated media strategy has replaced digital-only thinking. “The 2025 festive season marked a clear evolution in the brand media mix, with advertisers adopting a hybrid approach that balances digital efficiency with traditional media reach,” said Dalal.

E-commerce and Q-commerce platforms dominated digital budgets, accounting for nearly 35–40% of total digital AdEx, but print and TV didn’t lose their relevance. Brands used television for emotional storytelling, print for impact, and digital for precision targeting, each playing a distinct role in one seamless narrative.

“There has been some shift in allocation towards e-comm and q-comm this season, mostly for the retail segment,” Rangnekar noted, pointing to how brands are blending channels for different stages of the consumer journey.

Dalal described it best: “This festive season saw a balanced media approach rather than a digital-only focus. While digital advertising continued its rapid expansion, traditional media retained strong relevance, especially for festive storytelling and large-scale impact. Brands realised that festive campaigns perform best when they combine the immediacy of digital with the emotional depth and reach of print and TV.”

The auto and retail revival

The festive rebound wasn’t just about media; it was also about categories. Experts pointed to the auto sector as one of the biggest winners. “It’s too early to comment on the overall season spend, but certain category spends like auto and retail have definitely grown this year,” said Rangnekar.

Dalal added context: “The auto sector emerged as one of the biggest gainers, with brands ramping up ad investments around festive launches, discount drives, and new electric vehicle rollouts.”

From cars and jewellery to fintech and D2C brands, the season saw a mix of traditional and emerging categories. “Traditional festive categories such as retail, auto, jewellery, and consumer durables remained dominant, but 2025 also saw new sectors emerging as major contributors,” said Dalal.

Fintech, health tech, and sustainability-led D2C brands joined the festive rush, leaning on influencer tie-ups and purpose-driven campaigns to woo younger audiences. Bharat was no longer just watching ads, it was clicking, comparing, and converting.

A festive lesson in balance

For all its growth, 2025 also brought new challenges. “Despite the strong performance, brands faced challenges in securing premium ad inventories early, managing high competition, and maintaining creative distinctiveness in a crowded festive space,” said Dalal.

Inflated digital costs, rising clutter, and overlapping campaign windows meant every marketer had to fight harder for relevance. “A key lesson for the next festive season is the importance of early planning, cross-media integration, and data-led personalisation,” he advised.

Rangnekar, however, summarised the mood succinctly: “Nothing in particular this year.” In an industry addicted to constant change, that almost reads as optimism, a sign of stability.

So, what really changed?

Everything and nothing. Festive AdEx still grew double digits, but the how and where evolved. Bharat shopped online earlier, advertisers rediscovered print, and digital ad costs soared to record highs. What changed was the balance between emotion and efficiency, reach and ROI, tradition and technology. As Rangnekar put it, “Most brands have taken a digital-first approach.” But as the same brands fought for print’s premium pages, the 2025 festive season quietly proved a point: digital may lead, but print still matters. In the end, something did change this festive season: advertisers stopped choosing sides.